Yahoo Finance MaxCyte (LON:MXCT) Shareholders Booked A 96% Gain In The Last Year
The simplest way to invest in stocks is to buy exchange traded funds. But if you pick the right individual stocks, you could make more than that. For example, the MaxCyte, Inc. (LON:MXCT) share price is up 96% in the last year, clearly besting the market decline of around 16% (not including dividends). So that should have shareholders smiling. Unfortunately the longer term returns are not so good, with the stock falling 1.4% in the last three years.
See our latest analysis for MaxCyte
Because MaxCyte made a loss in the last twelve months, we think the market is probably more focussed on revenue and revenue growth, at least for now. Shareholders of unprofitable companies usually expect strong revenue growth. That's because it's hard to be confident a company will be sustainable if revenue growth is negligible, and it never makes a profit.
MaxCyte grew its revenue by 30% last year. That's a fairly respectable growth rate. While the share price performed well, gaining 96% over twelve months, you could argue the revenue growth warranted it. If revenue stays on trend, there may be plenty more share price gains to come. But before deciding this growth stock is underappreciated, you might want to check out profitability trends (and cash flow)
The image below shows how earnings and revenue have tracked over time (if you click on the image you can see greater detail).
Take a more thorough look at MaxCyte's financial health with this free report on its balance sheet.
A Different Perspective
We're pleased to report that MaxCyte rewarded shareholders with a total shareholder return of 96% over the last year. This recent result is much better than the 0.5% drop suffered by shareholders each year (on average) over the last three. We're generally cautious about putting too much weigh on shorter term data, but the recent improvement is definitely a positive. While it is well worth considering the different impacts that market conditions can have on the share price, there are other factors that are even more important. For instance, we've identified 2 warning signs for MaxCyte that you should be aware of.
Of course MaxCyte may not be the best stock to buy. So you may wish to see this free collection of growth stocks.
Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on GB exchanges.
This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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